Gulf News, 31 May 2026: The Ministry of Human Resources and Emiratisation (MoHRE) has begun implementing the new Wage Protection System (WPS) on 1 June 2026, requiring all private‑sector establishments to pay wages on the first day of each calendar month for the preceding month, with any later payment deemed delayed.
The system, introduced under Ministerial Resolution No. 340/2026, mandates that salaries be transferred electronically through the WPS or other MoHRE‑approved channels, accompanied by documentation verifying payments. Compliance is defined as transferring at least 85% of total wages by the due date, without prejudice to employees’ right to claim outstanding amounts.
A graduated enforcement mechanism applies to delayed payments:
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Day 2: Notifications and alerts to non‑compliant establishments.
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Day 5: Suspension of new work permits and formal warnings.
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Day 11: Administrative fines under Cabinet Resolution No. 21/2020; repeat offenders downgraded to Category Three.
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Day 16: Automatic registration of labour disputes for establishments with 25+ unpaid workers.
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Day 21: Executive instruments or collective dispute procedures; precautionary asset attachment, travel bans, and referral to the Public Prosecution for repeated violations.
The regulation also sets out sector‑specific enforcement for industries such as construction, transport, security, cleaning, and recruitment, and provides 11 exemptions including seafarers, foreign employees paid abroad, fishing boats, public taxis, banks, and places of worship.
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